Japanese automotive component maker Aisin Seiki and Toyota Motor Corporation have announced a new PhP1.2 billion share swap deal which effectively makes their current Toyota Autoparts Philippines, Inc. (TAP) joint-venture a new Aisin subsidiary. TAP will be renamed Toyota Aisin Philippines, Inc. with Aisin leading the new company's management after increasing its stake from 34 to 61 percent.

With the new development, Toyota's regional transmission hub, aims to to be even more competitive with the consolidation of Aisin's manual transmission (MT) production to the Laguna based plant. Aisin will also invest in automatic transmission ("AT") component production lines by utilizing TAP's 26 years of operation experience and technologies

TAP currently produces 5-speed and 6-speed MT gearboxes for the popular Toyota models such as the Innova, Hilux and Fortuner. It also produces Constant Velocity Joint (CVJ) used for the Corolla Altis and Vios. About 95% of its production is exported to Toyota affiliates in the Asia Pacific region.

TAP has produced high quality MTs as one of Toyota's global MT supply bases. In 2008, TAP invested approximately 5.6 billion PHP to increase its production capacity and an additional 2.5 billion PHP in 2015 to start producing new 6-speed MTs, making a steady contribution to creating investment and employment opportunities in the Philippines, as well as expanding its business in the country. Through the organizational change, TAP is confident that it will offer better transmissions to customers and continuously make a positive contribution to the Philippine society and economy as the "best-in-town company."

Toyota and Aisin will further strengthen their collaboration through the optimization of the powertrain production system and new product development. The Aisin Group as a whole aims to improve its competitiveness in the powertrain business.